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July 26, 2019

Executive Compensation at Baylor Scott and White Health

by Anne Paddock

Baylor Scott and White Health network is the largest non-profit healthcare provider in Texas. With 48 hospitals and 800 patient care sites, the vast organization has numerous separate 501 (c) (3) affiliated or related entities that make up the entire network.

The focus of this post is on the executive compensation at Baylor Scott and White Health (BSWH), a non-profit that provides services to the healthcare network known collectively as Baylor Scott and White Health network, and Baylor Scott and White Holdings, the parent organization that also provides management oversight. Collectively, these two related organizations manage the Baylor Scott and White Health network. Note:  Many of the highly compensated employees’ compensation will be listed on both 990’s because the organizations are related.

BSWH

The network employs approximately 47,000 individuals but BSWH reported having 2,173 employees who were compensated  $453 million (about half of their total revenue) in 2016, which equates to an average compensation of $209,000. However, only 686 employees received more than $100,000 in compensation with the 30 most highly compensated employees listed below:

  • $3,246,398:  Joel Allison, Director/CEO/Chairman*
  • $2,696,177:  Robert W Pryor, Former Officer*
  • $2,245,345:  Gary Brock, Director*
  • $2,176,515:  William Boyd, Secretary/Chief Legal Officer*
  • $2,039,748:  John M McWhorter, Director/COO*
  • $1,783,584:  Fred Savelsbergh, CFO*
  • $1,432,535:  David P Ballard, SVP Quality Health Care Improvements
  • $1,430,296:  Robert A Probe, Director/CMO*
  • $1,403,648:  Patricia M Currie, Director/President CTX
  • $1,376,260:  Glen R Couchman, Director CMO CTX
  • $1,346,019:  William Roberts, SVP Chief Strategy Development Officer
  • $1,345,823:  Steven Newton, COO NTX
  • $1,321,725:  Irving Prengler, Director CMO NTX
  • $  987,170:  Mathew Chambers, Chief Information Officer
  • $  896,130:  Ernest Franklin, SVP Clinicial Integration
  • $  881,147:  Clifford Fullerton, Chief Population Health Officer
  • $  812,963:  Jeremy Eaves, Interim SVP Supply Chain
  • $  792,828:  Mark Teresi, SVP NTX Chief Financial Officer
  • $  780,465:  Andrew Masica, VP Chief Eff Officer
  • $  741,517:  Jeana O’Brien, SVP, Chief Med Info Officer
  • $  716,908:  Edgar Jimenez, VP Critical Care Integration
  • $  713,350:  Janice Walker, CNO CTX
  • $  691,738:  James Pool, SVP Chief Accounting Officer
  • $  666,533:  Diane Grussendorf, SVP Managed Care
  • $  664,567:  Jennifer Coleman Stribling, SVP Marketing PR
  • $  566,150:  Claudia Wilder, Director CNO NTX
  • $  566,035:  Lisa L Havens, SVP System Risk Officer
  • $  507,275:  Francis P Anderson, Treasurer
  • $  381,184:  Tony Johnson, SVP Supply Chain
  • $ 162,327:  Rosemary Luquire, Former Key Employee (CNO)

The employees with a * listed above were compensated by a related organization (typically Baylor Scott and White Holdings; see below).

22 of the 30 (73%) most highly compensated employees are male while 8 (27%) are female. 9 of the 10 most highly compensated employees are male while 1 is a female (and she is 9th on the list). At the bottom of the list, 4 are male while 6 are female.

The Form 990 reports the organization paid for travel for companions, health or social club dues or initiation fees, tax indemnification or gross up payments, discretionary spending accounts, and a housing allowance or residence for personal use. To read more detail about these expenses, see Schedule J, Part III, Supplemental Information on the 990 (link below).

To read the IRS Form 990 (2017), click here.

Baylor Scott and White Holdings

Baylor Scott and White Holdings is the parent corporation (but also a 501 (c) (3)) of the Baylor Scott and White Health network, based in Dallas, Texas.  For the year ending June 30, 2017, the organization reported having 8 employees who were compensated $15.7 million, which equates to an average compensation of nearly $2 million each. However, the 990 reports that 21 employees received more than $100,000 in compensation (so, the information on the first page of the 990 that reports a total of 8 employees appears to be incorrect). And, on the list of the 20 most highly compensated employees, it is important to note 15 were directly compensated by Baylor Scott and White Holdings.

  • $3,246,398:  Joel Allison, President/CEO
  • $2,696,177:  Robert W Pryor, Former Officer
  • $2,245,345:  Gary Brock, Director
  • $2,176,515:  William Boyd, Secretary/Chief Legal Officer
  • $2,039,748:  John M McWhorter, Director/COO
  • $1,783,584:  Fred Savelsbergh, CFO
  • $1,430,296:  Robert A Probe, Director/CMO ($223,001 came from a related org)
  • $1,251,703:  David Winter, Trustee*
  • $1,049,066:  Alejandro Arroliga,  Trustee*
  • $  933,567:  William L Rayburn, Trustee*
  • $  930,406:  John Lacy, Chief Human Resource Officer
  • $  929,697:  Lavone Arthur, Chief Integration Officer
  • $  630,255:  Stephen Sullivan, Former Key Employee
  • $  513,236:  Kristi Sherrill, Chief Gov’t Relations Officer
  • $  513,164:  Paul Medeley, Trustee*
  • $  507,275:  Francis P Anderson, Treasurer*
  • $  415,021:  Robert Michalski, Chief Compliance Officer
  • $  263,832:  Richard Grace, Chief Mission Ministry Officer
  • $  162,107:  Rebecca Lincer, Special Asst to CEO
  • $  151,607:  Linda K Green, Admin Asst to Chief IDNO

The employees listed above with a “*” received compensation from a related organization.

17 of the 20 (85%) most highly compensated employees listed above are male while 3 (or 15%) are female. The 10 most highly compensated employees are male.

The Form 990 reports the organization paid for travel for companions, health or social club dues or initiation fees, tax indemnification or gross up payments, discretionary spending accounts, and a housing allowance or residence for personal use. To read more detail about these expenses, see Schedule J, Part III, Supplemental Information on the 990 (link below).

To read the IRS Form 990 for the year ending June 30, 2017, click here.

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